EDA Minutes 08-12-2015MINUTES
REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Wednesday, August 12, 2015, Mississippi Room, Monticello Community Center
Present: Bill Demeules, Bill Tapper, Tracy Hinz, Jim Davidson, Steve Johnson, Tom
Perrault, Lloyd Hilgart
Absent: None
Others: Angela Schumann, Jeff O'Neill, Wayne Oberg
1. Call to Order
Bill Demeules called the meeting to order at 6:00 p.m.
2. Roll Call
Demeules called the roll. All commissioners were present.
3. Approval of Minutes
Bill Demeules indicated that the following meeting minutes would be included with the
September agenda.
a. Regular Meeting - April 8th, 2015
b. Regular Meeting -July 8th, 2015
c. Special Meeting - July 22nd, 2015
4. Consideration of adding items to the agenda None
5. Consideration of approving payment of bills
Tracy Hinz asked for information related to the $12,000 expenditure for return of excess
TIF payment. Angela Schumann agreed to report back with a response.
BILL TAPPER MOVED TO APPROVE PAYMENT OF BILLS THROUGH JULY
2015. TRACY HINZ SECONDED THE MOTION. MOTION CARRIED 7 -0.
6. Consideration of Market Matching report
WSB's John Uphoff reported the following Market Matching activities:
• Met with industrial developer Grady Kinghorn
• Met with prospect regarding leasing space for light industrial business expansion
• Responding to Greater MSP's RFI related to a 10 -20 acre site for a bio -tech firm
• Reached out to Director of Operations at David Weekly Homes
EDA Minutes: 8/12/15
• Marketing industrial properties and certified shovel ready sites through magazine
• Followed up with prospects for Cedar Street Garden and Fred's Auto properties
• Preparing MN DEED Familiarization Tour
• Attended Midwest Chapter of CoreNet Global annual meeting
• Provided commercial and industrial data for local broker
7. Consideration to adopt Resolution #EDA- 2015 -007 approve final payment to Veit &
Company, Inc. for abatement and demolition services at 100 East Broadway
Angela Schumann reported that WSB reviewed the contract and completed work for the
abatement and demolition of 100 East Broadway and recommended final payment to Veit
& Company, Inc. in the amount of $2,635.30. Veit & Company provided final project
paperwork and completed the repair of the parking lot on the adjacent property to the
satisfaction of the property owner.
BILL TAPPER MOVED TO ADOPT RESOLUTION #EDA- 2015 -007 APPROVING A
10% PAYMENT OF $2,625.30 TO VEIT & COMPANY, INC. FOR ABATEMENT
AND DEMOLITION SERVICES AT 100 EAST BROADWAY. STEVE JOHNSON
SECONDED THE MOTION. MOTION CARRIED 7 -0.
g. Consideration of approving funding for 2015 Industry of Year /MN Manufacturer's
Week activities
TRACY HINZ MOVED TO APPROVE FUNDING FOR THE 2015 INDUSTRY OF
THE YEAR EVENT. BILL TAPPER SECONDED THE MOTION. MOTION
CARRIED 7 -0.
9. Consideration to set a ioint EDA/City Council work session for purposes of
EDA/HRA bevy and budget discussions
TRACY HINZ MOVED TO CALL FOR A SPECIAL MEETING OF THE EDA ON
AUGUST 24TH, 2015 AT 5:30 PM FOR PURPOSES OF EDA AND HRA LEVY
DISCUSSIONS, AND TO REQUEST ATTENDANCE OF THE CITY COUNCIL.
STEVE JOHNSON SECONDED THE MOTION. MOTION CARRIED 7 -0.
10. Consideration of a recommendation regarding a proposed EDA staff position for
2016
Schumann presented rationale for re- establishing the economic development staff
position eliminated in August of 2012. She explained that activities have been delayed
and response times increased as a result of limited staff time and resources available to
address economic development. She pointed out that hiring a dedicated economic
development professional would result in improved management of the day to day
operational workload and proactive efforts toward addressing the strategic initiatives
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EDA Minutes: 8/12/15
identified in the EDA workplan.
Schumann indicated that EDA small group appointees Lloyd Hilgart and Jim
Davidson support re- establishing an economic development position based on an in-
depth review of the proposal. The $48,000 budgeted for Market Matching would be
reallocated to cover a portion of the cost of funding the staff position.
Tom Perrault indicated that he would vote against the proposal because he thought that, if
the City hires a Business Manager for FiberNet, Communications Coordinator Rachel
Leonard would have time to fill some of the voids related to communication, once she
has transitioned from her current role at FiberNet. Schumann suggested that there is
ample workload to justify both positions.
BILL TAPPER MOVED TO RECOMMEND TO THE CITY COUNCIL THAT THE
CITY PROCEED WITH ESTABLISHMENT AND HIRING OF A FULL -TIME EDA
STAFF POSITION FOR 2016. JIM DAVIDSON SECONDED THE MOTION.
MOTION CARRIED 6 -1 WITH TOM PERRAULT VOTING IN OPPOSITION.
11. Consideration of an update on amendments to the Small Cities Economic
Development Set -Aside Revolving Loan Fund Guidelines
Schumann summarized a series of amendments to the Small Cities Economic
Development Set -Aside Revolving Loan Fund guidelines based on discussion with MN
DEED. The amendments include a clarification to compliance requirements, revised
language related to public - private financing and a reference to federal guidelines.
Schumann pointed out that the guidelines for application do not require EDA approval.
Final amendments will be considered by the City Council. Schumann said that she would
look into redirecting legal fees to Council as it administers the funding for this program.
12. Consideration of direction regarding available pooled housing increment,
Monticello Tax Increment Financing District 1 -22
Schumann summarized that the EDA has the option of pooling an additional 10% of tax
increment within TIF 1 -22 to fund a qualified housing project within the redevelopment
area. She noted that this would generate $345,000 over the life of the district.
Schumann indicated that she would confirm that the EDA would be able to capitalize the
annual revenue through an interfund TIF loan. She also said that she would confirm that
the pooled funds would be available to use for this purpose after the district decertifies.
BILL TAPPER MOVED TO DIRECT EDA STAFF AND FINANCIAL
CONSULTANTS TO BEGIN THE MODIFICATION OF TIF DISTRICT 1 -22 AS
RELATED TO THE ESTABLISHMENT OF A 10% POOLING ALLOWANCE FOR
HOUSING. TRACY HINZ SECONDED THE MOTION. MOTION CARRIED 7 -0.
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13. Economic Development Report
Schumann responded to questions and provided further details related to updates involving
Landmark Square IFTIF 1 -35 and the TH 25 /CSAH 75 preliminary schedule.
14. Adiourn
BILL TAPPER MOVED TO ADJOURN THE MEETING AT 5:55 PM. TOM
PERRAULT SECONDED THE MOTION. MOTION CARRIED 7 -0.
Recorder: Kerry Burri _�b
Approved: November 18, 201
Attest:
Scln#naa n/Corkmuriity Development Director
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